Core Insights - Walker & Dunlop's annual survey indicates a bullish outlook for affordable housing investment, with optimism for continued growth into 2026 [1][5] Investment Sentiment - 90% of respondents expect an increase in appetite for investments in affordable housing over the next year, a significant rise from 70% in the previous year [6] - 65% of respondents reported an increase in affordable housing investments in the past year, up from 52% last year, indicating strong momentum in the market [6] HUD Effectiveness - 59% of respondents view HUD's performance positively, with 8% rating it as very effective and 51% as effective in supporting affordable housing construction [6] - 18% of respondents felt HUD was neutral, while 18% expressed dissatisfaction with its effectiveness, citing regulatory complexity and funding limitations [6] Economic Policies Impact - 70% of respondents believe economic policies, particularly tariffs, negatively affect affordable housing development due to increased material and labor costs [6] - 17% of respondents were neutral on the impact of tariffs, while 13% did not see them as detrimental, suggesting varied perspectives on cost absorption [6] Tax Bill Changes - Respondents generally believe recent tax bill changes under the One Big Beautiful Bill Act (OBBBA) will positively influence affordable housing production over the next five years [6] - 29% expect no or minor impact (0-5% increase), 33% anticipate moderate impact (6-10% increase), and 25% foresee significant or major impact (11%+ increase) [6][9]